Published: Tuesday, May 21, 2013 at 06:20 PM.

County commissioners discussed the looming revenue challenges at their meeting Tuesday.

The largest chunk of that $5.6 million is $1.7 million requested by Sheriff Larry Ashley to fill the vacancies created when he placed deputies in every public school in the district. Other items on the list include $1.2 million for county vehicle and equipment replacement, $1.4 million for a 3 percent salary increase for county employees, $675,000 in capital construction costs and $678,000 in contributions to the Florida Retirement System.

“If we don’t come up with some type of revenue source, I see the only option we have is to significantly cut the services we’re providing to the county,” Commissioner Dave Parisot told the board at its meeting in Fort Walton Beach.

Commission Chairman Don Amunds suggested moving some of those budget requests — particularly the Sheriff’s Office’s money — off the table. He said it was Ashley’s decision to place school resource officers in every school, and the commission isn’t obligated to replace that money in the sheriff’s budget.

“At the end of the day, we tell the constitutional officers, ‘This is your budget.’ Where they cut, how they cut is up to them,” Amunds said. “If they believe it’s more important to have officers over here versus over here, that’s their responsibility. … That’s not our role as county commissioners.”

Commissioner Wayne Harris suggested the county explore funding the Sheriff’s Office through a Municipal Service Taxing Unit, or MSTU.

The MSTU would allow Ashley “to set his millage rate and fund his operation without having to come back to us and argue with us every year,” Harris said.

Using such a funding method would allow Ashley to know exactly what his revenue would be each year, he said.

“It’s being used in other counties effectively. …. We need to look into it,” Harris added.

He said an MSTU “puts the onus, if you will, on the sheriff and not on the county commissioners” to determine funding.

But County Attorney John Dowd said the board still would be considered the governing body overseeing the MSTU. Parisot agreed and said that structure is no different from the board overseeing the levy of ad valorem taxes.

Harris argued that an MSTU for specific Sheriff’s Office funding should be explored thoroughly by Dowd, Ashley and County Administrator Ernie Padgett.

“Don’t dismiss it categorically,” he said. “That’s all I’m asking.”

Parisot continued his call to assess franchise fees as a viable way to generate more money. Under that plan, the county would charge the major local utility companies — Gulf Power, Choctawhatchee Electric Cooperative and Okaloosa Gas a fee to use public rights of way.

“We do have a lot of flexibility with franchise fees,” Parisot said. “We can dedicate part of the franchise fee (revenue) to roads. We can dedicate part of the franchise fees to stormwater. … We can spend it on the general fund.”

Those are options the commissioners wouldn’t have if they raised the gas tax instead, he added.

“The gas tax was only going to address one thing, and that’s roads,” Parisot said.

County commissioners discussed the looming revenue challenges at their meeting Tuesday.

The largest chunk of that $5.6 million is $1.7 million requested by Sheriff Larry Ashley to fill the vacancies created when he placed deputies in every public school in the district. Other items on the list include $1.2 million for county vehicle and equipment replacement, $1.4 million for a 3 percent salary increase for county employees, $675,000 in capital construction costs and $678,000 in contributions to the Florida Retirement System.

“If we don’t come up with some type of revenue source, I see the only option we have is to significantly cut the services we’re providing to the county,” Commissioner Dave Parisot told the board at its meeting in Fort Walton Beach.

Commission Chairman Don Amunds suggested moving some of those budget requests — particularly the Sheriff’s Office’s money — off the table. He said it was Ashley’s decision to place school resource officers in every school, and the commission isn’t obligated to replace that money in the sheriff’s budget.

“At the end of the day, we tell the constitutional officers, ‘This is your budget.’ Where they cut, how they cut is up to them,” Amunds said. “If they believe it’s more important to have officers over here versus over here, that’s their responsibility. … That’s not our role as county commissioners.”

Commissioner Wayne Harris suggested the county explore funding the Sheriff’s Office through a Municipal Service Taxing Unit, or MSTU.

The MSTU would allow Ashley “to set his millage rate and fund his operation without having to come back to us and argue with us every year,” Harris said.

Using such a funding method would allow Ashley to know exactly what his revenue would be each year, he said.

“It’s being used in other counties effectively. …. We need to look into it,” Harris added.

He said an MSTU “puts the onus, if you will, on the sheriff and not on the county commissioners” to determine funding.

But County Attorney John Dowd said the board still would be considered the governing body overseeing the MSTU. Parisot agreed and said that structure is no different from the board overseeing the levy of ad valorem taxes.

Harris argued that an MSTU for specific Sheriff’s Office funding should be explored thoroughly by Dowd, Ashley and County Administrator Ernie Padgett.

“Don’t dismiss it categorically,” he said. “That’s all I’m asking.”

Parisot continued his call to assess franchise fees as a viable way to generate more money. Under that plan, the county would charge the major local utility companies — Gulf Power, Choctawhatchee Electric Cooperative and Okaloosa Gas a fee to use public rights of way.

“We do have a lot of flexibility with franchise fees,” Parisot said. “We can dedicate part of the franchise fee (revenue) to roads. We can dedicate part of the franchise fees to stormwater. … We can spend it on the general fund.”

Those are options the commissioners wouldn’t have if they raised the gas tax instead, he added.

“The gas tax was only going to address one thing, and that’s roads,” Parisot said.